AKITA Drilling Ltd Net Income jumped on 116% in 2016
03.03.2017 • About AKITA Drilling Ltd (
$AKT.A) • By InTwits
AKITA Drilling Ltd reported FY2016 financial results today. Overall the company's long term financial model is characterised by the following facts:
- AKITA Drilling Ltd is a company in decline: FY2016 revenue growth was -45.7%, 5 years revenue CAGR was -21.1%
- EBITDA Margin is declining: in FY2016 vs. -16.6% in FY2015 vs. 23.2% in FY2012
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
AKITA Drilling Ltd ($AKT.A) key annual financial indicators
| mln. CAD | 2012 | 2013 | 2014 | 2015 | 2016 | 2016/2015 |
|---|
P&L
|
|---|
| Revenue | 203.4 | 168.1 | 165.3 | 112.5 | 61.1 | -45.7% |
| Gross Profit | 41.2 | 35.0 | 22.5 | 38.5 | | -100.0% |
| SG&A | 18.5 | 18.8 | 18.1 | 15.1 | | -100.0% |
| EBITDA | 47.1 | 43.0 | 34.5 | -18.6 | | |
| Net Income | 28.8 | 26.5 | 21.1 | -34.0 | 5.3 | |
Balance Sheet
|
|---|
| Cash | 11.0 | 14.0 | 2.0 | 9.4 | | -100.0% |
| Short Term Debt | 0.0 | 0.0 | 20.0 | 0.0 | | |
| Long Term Debt | 0.0 | 0.0 | 0.0 | 0.0 | | |
Cash flow
|
|---|
| Capex | 65.4 | 35.1 | 103.9 | 18.0 | | -100.0% |
Ratios
|
|---|
| Revenue growth | 1.8% | -17.4% | -1.7% | -31.9% | -45.7% | |
| EBITDA growth | -8.1% | -8.8% | -19.6% | -154.0% | | |
| Gross Margin | 20.3% | 20.8% | 13.6% | 34.2% | | -34.2% |
| EBITDA Margin | 23.2% | 25.6% | 20.9% | -16.6% | 0.0% | 16.6% |
| Net Income Margin | 14.1% | 15.8% | 12.8% | -30.2% | 8.7% | 38.9% |
| SG&A, % of revenue | 9.1% | 11.2% | 11.0% | 13.4% | | -13.4% |
| CAPEX, % of revenue | 32.1% | 20.9% | 62.9% | 16.0% | | -16.0% |
| ROIC | 9.9% | 6.3% | 1.5% | -20.3% | | 20.3% |
| ROE | 13.5% | 11.3% | 8.3% | -14.2% | | 14.2% |
| Net Debt/EBITDA | -0.2x | -0.3x | 0.5x | | | 0.0x |
AKITA Drilling Ltd ($AKT.A) key quoterly financial indicators
| mln. CAD | FY16Q1 | FY16Q2 | FY16Q3 | FY16Q4 | YoY change |
|---|
P&L
|
|---|
| Revenue | 42 | 4 | 7 | 9 | -10.1% | -83.8% | -70.0% | -58.5% |
| EBITDA | 29 | -1 | -2 | -2 | 168.3% | -117.3% | | |
| Net Income | 18 | -4 | -5 | -4 | 330.8% | | | |
Balance Sheet
|
|---|
| Cash | 6 | 23 | 18 | 14 | 345.6% | 377.7% | 283.4% | 52.1% |
| Short Term Debt | 0 | 0 | 0 | 0 | -100.0% | -100.0% | | |
| Long Term Debt | 0 | 0 | 0 | 0 | | | | |
Ratios
|
|---|
| Gross Margin | 78.2% | 59.8% | 13.3% | 11.3% | 45.1% | 21.3% | -22.4% | -19.1% |
| EBITDA Margin | 68.8% | -23.5% | -30.2% | -18.5% | 45.7% | -45.4% | -12.3% | 124.9% |
| Net Income Margin | 43.3% | -111.4% | -70.6% | -46.7% | 34.2% | -104.2% | -36.1% | 89.9% |
Revenue and profitability
AKITA Drilling Ltd's Revenue dropped on 45.7%. Revenue decline showed acceleration in FY16Q4 - it was 58.5% YoY.
Net Income marign surged on 38.9 pp from -30.2% to 8.7% in FY2016.
Appendix 1: Peers in Energy
Below we provide AKITA Drilling Ltd benchmarking against other companies in Energy industry for the last 5 years. We show data for the top-5 companies by key financial metric together with the median value for all the companies in the industry.
Top companies by Revenue growth, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Oryx Petroleum Corp Ltd ($OXC) | | | | -18.4% | 141.2% |
| Seven Generations Energy Ltd ($VII) | | 115.7% | 340.2% | 39.0% | 94.4% |
| Athabasca Oil Corp ($ATH) | | 342.7% | 5.5% | -22.9% | 73.1% |
| Painted Pony Petroleum Ltd ($PPY) | | 41.3% | 56.0% | -42.5% | 60.7% |
| ONEnergy Inc ($OEG) | | | 6,002.6% | 231.5% | 57.4% |
| |
|---|
| Median (116 companies) | | 16.2% | 17.0% | -27.7% | -18.0% |
|---|
| AKITA Drilling Ltd ($AKT.A) | | -17.4% | -1.7% | -31.9% | -45.7% |
Top companies by Gross margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Americas Petrogas Inc ($BOE) | 77.1% | 43.3% | -34.3% | 121.1% | |
| TransAlta Renewables Inc ($RNW) | | 94.4% | 94.5% | 94.5% | 91.1% |
| Serinus Energy Inc ($SEN) | 80.5% | 76.5% | 86.8% | 88.5% | |
| Advantage Oil & Gas Ltd ($AAV) | 62.0% | 84.5% | 92.5% | 88.5% | 90.3% |
| Polaris Infrastructure Inc ($PIF) | 39.9% | 33.6% | 32.0% | 86.7% | 88.6% |
| |
|---|
| Median (114 companies) | 32.0% | 32.2% | 32.4% | 33.6% | 32.0% |
|---|
| AKITA Drilling Ltd ($AKT.A) | 20.3% | 20.8% | 13.6% | 34.2% | |
Top companies by EBITDA margin, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Granite Oil Corp ($GXO) | 59.4% | 64.5% | 70.8% | 201.9% | |
| Perpetual Energy Inc ($PMT) | 35.5% | 70.7% | 58.0% | 110.3% | |
| Petro Rio SA ($PRJ) | -4,809.7% | -6,899.7% | 28.2% | 90.7% | |
| Peyto Exploration & Development Corp ($PEY) | 86.1% | 83.2% | 86.3% | 84.6% | 80.7% |
| Innergex Renewable Energy Inc ($INE) | 111.8% | 110.0% | 82.9% | 83.4% | 83.5% |
| |
|---|
| Median (128 companies) | 25.9% | 35.7% | 28.9% | 9.0% | 28.2% |
|---|
| AKITA Drilling Ltd ($AKT.A) | 23.2% | 25.6% | 20.9% | -16.6% | |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Oryx Petroleum Corp Ltd ($OXC) | | | 1,997.8% | 712.8% | |
| WesternZagros Resources Ltd ($WZR) | | | | 385.6% | |
| Athabasca Oil Corp ($ATH) | 2,426.4% | 596.6% | 504.7% | 315.2% | 83.7% |
| TORC Oil & Gas Ltd ($TOG) | 453.8% | 466.9% | 104.5% | 229.4% | 76.3% |
| Seven Generations Energy Ltd ($VII) | 452.8% | 513.1% | 227.4% | 191.2% | 73.5% |
| |
|---|
| Median (129 companies) | 43.8% | 39.2% | 45.0% | 28.1% | 23.0% |
|---|
| AKITA Drilling Ltd ($AKT.A) | 32.1% | 20.9% | 62.9% | 16.0% | |
Top companies by ROIC, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Enerplus Corp ($ERF) | -17.3% | 10.2% | 11.5% | -55.5% | 16.3% |
| Whitecap Resources Inc ($WCP) | 7.1% | 8.1% | 9.6% | -10.6% | 10.1% |
| Ecopetrol SA ($ECP) | 29.3% | 24.4% | 16.5% | 3.0% | 9.6% |
| Parkland Fuel Corp ($PKI) | 22.3% | 23.3% | 9.9% | 7.8% | 8.6% |
| Inter Pipeline Ltd ($IPL) | 9.5% | 8.0% | 7.5% | 9.6% | 8.5% |
| |
|---|
| Median (128 companies) | 3.6% | 5.4% | 5.7% | -8.2% | -1.9% |
|---|
| AKITA Drilling Ltd ($AKT.A) | 9.9% | 6.3% | 1.5% | -20.3% | |
Top companies by Net Debt / EBITDA
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| BlackPearl Resources Inc ($PXX) | -0.2x | -0.1x | 0.2x | 3,726.1x | -0.2x |
| Paramount Resources Ltd ($POU) | 14.6x | 23.9x | 8.9x | 421.5x | -5.8x |
| Precision Drilling Corp ($PD) | 2.2x | 1.9x | 2.0x | 68.4x | 7.6x |
| Trican Well Service Ltd ($TCW) | 2.5x | 3.4x | 2.9x | 31.4x | |
| Trilogy Energy Corp ($TET) | 2.6x | 1.8x | 2.3x | 25.5x | 7.3x |
| |
|---|
| Median (79 companies) | 1.6x | 1.5x | 1.4x | 2.6x | 2.7x |
|---|
